Loan agreement: Comparative analysis of banking legislation in the field of lending to individuals in the Republic of Kazakhstan and the Russian Federation

Abstract

The banking system is a key link in the economy. As a guarantor of human rights protection, the state must ensure the growth of the well-being of citizens, including by providing affordable and cheap consumer loans to the population. The in-creased level of debt on unsecured consumer loans of citizens of the Republic of Kazakhstan makes it necessary to reduce the debt burden of the population to credit institutions. The purpose of the study was to compare the legislation and the practice of applying sustainability of banking legislation in the field of lending to individuals in the Republic of Kazakhstan and the Russian Federation. The article characterises the sustainability of banking legislation of the Republic of Kazakh-stan, describes the main legislative reforms, their implementation and consequenc-es. A comparative analysis of the measures taken in Kazakhstan to protect the rights of a borrower with the system of the Russian Federation as the most approx-imate in terms of economic and social indicators. The main problems of the activi-ty of credit institutions on the territory of Kazakhstan and the Russian Federation were revealed and possible ways of their solution were found. It was concluded that nowadays the main problem of consumer lending is unfair lending by finan-cial organisations. It is necessary to adopt a separate law on consumer lending, which will ensure the protection of the interests of borrowers.